Saudi Aramco, the world’s largest oil company, is considering as much as $5b of investments in renewable energy firms as part of the kingdom’s plans to diversify from crude production, Oil and Gas People reported.
The energy company was seeking to bring foreign expertise in renewable energy into the kingdom and the first investments under the plan could occur in 2017. According to The Irish Times, banks including HSBC Holdings Plc, JPMorgan Chase & Co., and Credit Suisse Group AG have been invited to pitch for a role helping Aramco identify potential acquisition targets and advising on deals.
The country’s Energy Minister and Aramco’s Chairman, Khalid Al-Falih, said at the World Economic Forum in Davos, Switzerland, that Saudi Arabia intended to become a global powerhouse of renewable energy, including solar, wind, and nuclear power. By 2030, the kingdom wants to produce 30% of its power from renewable energy sources.
OPEC’s biggest crude producer is embarking on a domestic renewable-energy program costing $30b-$50b.